Every year, the Kenyan government loses 30 billion shillings in tax revenue due to tax evasion and corruption, fake products and counterfeits.
To end this, the Directorate of Criminal Investigations (DCI) and Kenya Revenue Authority (KRA) are deepening collaboration to combat tax evasion and corruption. This vice involves collusion between taxpayers and KRA staff.
The collaboration focuses on varied aspects including the management of Customs clearance operations and the tackling of illicit trade and both importation and local manufacturer level.
In a statement, both DCI and KRA added, “The DCI and KRA wish to announce the arraignment in court of three Kenya Ports Authority (KPA) officials and one KRA official on charges of concealment and improper declaration of goods imported through the Port of Mombasa, contrary to section 202(a) of the East African Community Act 2004.”
The individuals are KRA’s Erick Micheni, while from KPA those arrested include Tom Oyugi, Enock Omondi and William Langat. All the suspects are charged jointly with other persons, not before the court with concealing imported goods worth over Sh6 million.
According to the charge sheet, the accused on diverse dates between July 31 and August 4 this year concealed goods at a KPA shed at the Embakasi Inland Deport in Nairobi, with the intention to subsequently remove them without following prescribed processes.
Micheni who is an ICT officer at KRA is charged with a second count of concealing an assortment of imported goods on diverse dates over the same period.
He is also additionally charged on a third count with being in possession of counterfeit goods contrary to section 32 (A) as read with section 35 (1) of the Anti-Counterfeit Act of 2008.
KRA and the DCI add that more interventions geared towards combating tax evasion and corruption in tax collection are in progress.
Speaking during the Kenya Trade week early this month, the Shippers Council of Kenya CEO Gilbert Langat said, “We are looking into reducing paperwork at the Port of Mombasa to make our logistics more efficient and improve ease of doing business.”
Kenya is currently ranked 80th out of 196 countries in ease of doing business with the Ministry of industrialization saying their target is to move to position 50 in the world on ease of doing business by the year 2022.
The war on counterfeits seems to be taking root with goods worth billions nabbed in the exercise.
"Since 11th May 2018, crackdowns have been carried out and goods worth approximately 7.5 billion have been seized" ~ Deputy Head of Public Service, GOK. @Wanyamamusiambo @KRACare @ACAKenya @ExportsKenya @KenTrade_G2B @BrandKenya #KenyaTradeWeek2018 pic.twitter.com/boog4NFF1E
— Kenya Revenue (@KRACorporate) August 1, 2018